Income-tax
VENKATRAMAN SHRINIVAS
(Querist) 19 June 2010
This query is : Resolved
While awarding compensation in a land acquisition case, the government has also granted solatium to the land owner. The land has been taken over to widen the golden quadrilateral highway and in a prestigious place. While the compensation as also the interest for the delayed payment are taxable, it has been the claim of the land owner that solatium being one representing money paid to assuage pent up feelings or wounded feelings is akin to compensation paid to accident victims and is not taxable. There is no dedcision as seen from the digest barring a Punjab & Haryana Bigh Court decision which directs that solatium is also assessable to tax. Can anay one identify or locate any other judgment in this regard. Converselky if any case deciuded by the Supreme Courrt in any civil law that cana be of assistance may also be cited.
TYhanks and regards.
Raj Kumar Makkad
(Expert) 19 June 2010
No. I have also not seen any citation in support of your point.
